QUITO - The extension of its contract for Block 62-Tarapoa with China's Andes Petroleum will bring Ecuador an additional $163 million in investment, the oil ministry said on Wednesday.

The block, located in Cuyabeno, in Sucumbios province, will now operate through the end of 2040, the ministry said in a statement.

"The extension of the contract for Block 62 will also generate long-term income of approximately $969 million," the statement said, and accumulated production of 42 million barrels through its end.

The extension was signed on Tuesday, the ministry said, and includes the drilling of 21 development wells, one exploratory well and other work.

(Reporting by Alexandra Valencia Writing by Julia Symmes Cobb)